stalemate. the rebel advance in libya stalls after fierce attacks by moammar gadhafi's government forces. tragedy in tucson. alleged gunman jared loughner, to be arraigned today on new charges, as another bizarre video surfaces. and a master plan. a would-be burglar calls for help after being caught in the act. >> 911. >> i just broke into the house, and the owner came home. >> you broke into a house? >> yeah. >> where at? >> yeah. >> where at? >> i don't know. captioning funded by cbs

well, good morning, everybody, and thanks for joining us, i'm betty nguyen. we begin in libya, where forces loyal to moammar gadhafi are pounding rebel positions in a series of fierce counterattacks. gadhafi met with supporters tuesday and claimed the revolt is being led by a small group of foreigners who brainwashed libyan youth. the rebel-held city closest to the capital of zawiyah is under siege from the air and on the ground. this morning rebel forces say pro-gadhafi forces are closing in. mark phillips has more now from tripoli. >> reporter: for five straight days, the libyan army has been pounding the town and the people of zawiyah. for five days, the anti-gadhafi rebels there have resisted an increasingly ferocious assault and stayed defiant. for colonel gadhafi, this popular resistance, just 30 miles from tripoli, is an embarrassment on his doorstep.

one that flies in the face of his claim that the rebellion has been brought under control. he sent in the most notoriously ruthless unit in the libyan army, the kamis brigade, headed by one of his sons, to shoot them down. each time the army rolls in, the toll of death goes up. each time the diminishing number of defenders, augmented by some army defectors, has somehow repelled the advance. >> we killed four people, and we took their guns and their weapons. now the people standing outside, their victory is near. >> reporter: the rebels are getting no outside military help but they're about to get some more economic clout. the european union will announce that they will put sanctions on libyan government holdings in companies in europe. this to add to the restrictions already in effect on gadhafi family accounts. mark phillips, cbs news, tripoli. the united states and others are still considering possible

response to the crisis in libya, including establishing a no-fly zone. but secretary of state hillary clinton told erica hill tuesday that whatever is done must be a u.n. decision, and not a u.s.-led initiative. >> we believe it's important that this not be an american or a nato or a european effort. it needs to be an international one. and there is still a lot of opposition, as you probably know, within the security council. but we're working to try to come up with good, solid, international package. >> you can see more of erica's exclusive interview with the secretary of state a little bit later this morning on t"the eary sho show". this afternoon the senate plans to take test votes on two budget plans to fund the government for the next six months. the first, a republican proposal passed by the house calls for drastic cuts. the second, a democratic alternative, republicans say doesn't cut enough. one democratic senator says

president obama needs to lead the debate. >> the truth of the matter is this, with this debate as important as it is, will not be decided by house republicans, or by senate democrats negotiating with each other or past each other. the debate will be decided when the president leads these tough negotiations. and right now that's not happening. >> during a visit to a massachusetts school tuesday, the president said any reductions in money for education would be irresponsible. tomorrow, a house committee begins hearings on what some see as the rising threat posed by muslim extremists in the united states. the hearings have sparked heated debate with critics contending they're nothing more than a witch-hunt. susan mcginnis is in washington. she joins us live this morning. susan, what's the latest on this? >> hi, good morning, betty. well the hearings start tomorrow, but the firestorm around them is growing today in washington. some argue that with al qaeda looking to recruit u.s. muslims, it makes sense to target that community. others, as you said, are calling

it a witch-hunt. congressman peter king calls it a matter of national security. >> there's a concerted effort, a changing strategy by al qaeda, to recruit and to radicalize muslim americans in this country. >> reporter: tomorrow the new york republican will lead congressional hearings into islamic radicalism in the american muslim community. while king insists a majority of muslim americans are outstanding citizens, he says many haven't done enough to denounce al qaeda and help authorities. >> we want to encourage them to look for radicalization in their community, speak out against it. >> reporter: the planned hearings have sparked protest on both sides. >> if you want to talk about terrorism, it should be about everyone. >> it's war on terror. it's not some campaign overseas. it goes on today, right here. >> reporter: the white house is walking a fine line on the issue. welcoming congressional interest in the matter, but also encouraging religious tolerance. g÷6do as americans.

and muslim americans are part of the solution here. they're not the problem. >> reporter: some experts say the matter is worth looking into. considering recent arrests like faisal shahzad who is accused of trying to bomb times square and army major nadal hasan, the accused fort hood shooter. >> name another religion where there's an international effort today where there could be an imam in yemen talking to a member of our military in texas. >> reporter: but critics insist muslim americans have also helped authorities crack several plots and they don't want these hearings to stop that trend. and some house republicans worry the hearings could distract congress from where it needs to be focused right now, on the economy. betty? >> all right, susan mcginnis in washington this morning. thank you, susan. jared loughner is being arraigned in phoenix today on new federal charges from the january shooting rampage in tucson. six people were killed and 13 wounded, including congresswoman gabrielle giffords. the judge in the case is

considering a prosecution request to have loughner undergo a psychological examination. in court on monday, prosecutors revealed a youtube video showing a hooded figure, thought to be loughner, burning an american flag. prosecutors say they want to be sure loughner is mentally competent to stand trial. there's been a deadly farmhouse fire in rural pennsylvania. state trooper says seven children were killed in that blaze. the fire broke out tuesday night in blain, which is about 20 miles north of harrisburg. the children's mother was in the barn and the father was sleeping in a truck. one child who escaped the fire alerted his parents. in other news the archdiocese of philadelphia has suspended 21 priests accused or suspected of sexually abusing children. the 21 were named in a grand jury report issued last month. the grand jury also accused church leaders of a cover-up, and of failing to keep abusive priests away from children. through a spokesperson, cardinal justin rigali said he takes the accusations very seriously, but

church critics are still outraged. >> the archdiocese is doing too little, too late, taking, begrudging, minimal steps, instead of putting the protection of children first. >> the suspended 21 priests will be identified during ash wednesday services today. spring is just a week and a half away but winter is still getting its licks in. heavy snow is forecast for parts of the plains and the great lakes states today. flooded towns in the northeast are expected to get just what they do not need, and that is more rain. plus rural residents in northern texas, they're picking up the pieces today after powerful thunderstorms that brought at least two tornadoes. just ahead on the "morning news," facebook offers a new service to get you even more hooked on the website. plus, unmasked. an alleged crook has big trouble with his disguise. you're watching the "cbs morning news."

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wonder where the durango's been for the last two years? well, it toured around europe, getting handling and steering lessons on those sporty european roads. it went back to school, got an advanced degree in technology. it's been working out -- more muscle and less fat. it's only been two years, but it's done more in two years than most cars do in a lifetime.

okay. if this guy weren't an armed robber suspect, you might feel sorry for him. security video from a convenience store in south carolina shows him trying to pull down a mask several times. but it just won't cooperate. he eventually fled without getting any money. and speaking of criminal incompetence, how about an intruder in oregon who actually called 911 while he was still inside the house? portland police say timothy chappick broke into the house and then took a shower. while he was in the bathroom the owner returned, and fearing for his life, he called 911. >> 911. >> i just broke into a house and the owner came home. >> you broke into a house? >> yeah. >> where at? >> i don't know. >> okay. so are you still there? >> yes. >> okay. where are you?

>> i don't know. >> you have no clue where you are? >> no. >> that is just bizarre. all right. so police got the location from the homeowner and arrested chappick. he's in jail and expected to be charged with criminal trespass. here's a question to ponder this morning. are you in a state of happiness? well, a new report can tell you based on a nationwide survey it says hawaii is the happiest state in the union. the rest of the top five include wyoming, north dakota, alaska, and colorado. the other end of the scale, well that includes mississippi, kentucky, and the least happy state? west virginia. on the "cbs moneywatch," investors in asia have something to be happy about this morning. ashley morrison is here in new york with the latest on that. good morning, ashley. >> good morning to you, betty. well asian markets edged higher for a second straight day. japan's nikkei added more than half a percent while hong kong's hang seng also finished higher. oil prices remain near $104 a barrel. today, wall street gets the

very latest on trade. on tuesday stocks rallied with big banks leading the charge. the dow jumped 124 points, while the nasdaq gained 20. small investors have jumped squarely back into the market. new data shows since the beginning of the year investors have poured more than $24 billion into mutual funds. that reversed the trend from the year before, which saw small investors pulling $96 billion out of the market. one major investor thinks now is not a good time to be in stocks. billionaire carl icahn is returning all the money that outside investors have put into his hedge fund. in a letter to partners, he says he is concerned about another market crisis, especially given the current bull run on wall street. stocks have nearly doubled since hitting 12-year lows just two years ago. facebook is breaking into the movie business. the social networking site has signed a deal with warner brothers that will let you buy or rent certain films.

the first to be offered, "the dark knight" which will cost $3 or 30 facebook credits to rent. facebook promises more movie titles will be added in the coming months. the service is only available in the u.s. and it's your chance to own a treasured piece of rock history. eric clapton is parting with dozens of guitars and amps for an auction later today in new york city. among the highlights is his signature stratocaster he played during the reunion shows in 2005. the proceeds will go to an alcohol and drug treatment center he founded in antigua. betty, i'm sure there will be a lot of people at that auction. >> oh, no doubt. all right, ashley, thank you very much, joining us live here in new york. producers of the troubled spider-man musical on broadway are denying a report that the show's opening will be delayed yet again. today's "new york times" says the opening pushed back another three months. but a spider-man representative tells cbs news that opening night is still set for next tuesday, march 15th. straight ahead, your

wednesday morning weather. and in sports, the ice-cold miami heat try to warm up against the blazers.

how are you getting to a happier place? running there? dancing there? how about eating soup to get there? campbell's soups fill you with good nutrition, farm-grown ingredients, and can help you keep a healthy weight. campbell's. it's amazing what soup can do. here's a look at the weather in some cities around the country. new york, partly cloudy, 44 degrees. miami, partly cloudy, 81. chicago, some light rain there, 44 degrees. but it's sunny in dallas, at 67 degrees. and sunny in l.a. at 77 degrees. time now for a check of the

national forecast. the latest satellite picture shows storm clouds stretching from the northern plains toward the southeast. later today the eastern half of the nation faces very heavy rains, and more flooding. snow is expected from michigan to iowa. and the deep southeast could see more severe weather. in sports, the miami heat losing streak is now at five games. la marcus aldridge of portland had 26 points and the trail blazers held off miami's fourth quarter comeback to beat the heat 105-96. kobe bryant of the lakers scored 26 points against atlanta. los angeles over the hawks 101-87. bryant passed moses malone and is now the sixth person on the career scoring list. in college basketball, butler, last year's runner-up back in the ncaa tournament, matt howard of the bugdogs had 18 points against wisconsin-milwaukee. the victory is butler's third verizon league title in four

years. in college football ohio state football coach jim tressel has been suspended for two games. he was also fined $250,000 for violating ncaa rules. he failed to notify the school about his players' questionable activities involving memorabilia. former nfl running back tiki barber wants to make a comeback. barber retired four years ago, and is 35 years old. the new york giants say they're not interested. reportedly barber is broke, and can't pay his divorce settlement. when we return, another look at this morning's top stories. and marine mystery. what killed millions of sardines off the southern california coast? hold up. why are we stopping? just need to refill my walgreens prescription. [ shouting in native language ] i don't know what he's saying right now. he says you're gonna get frostbite in under 30 seconds. won't take me that long. honey, is this really necessary? it'll bug me if i wait. [ female announcer ] walgreens free mobile app. refill by scan. receive a text when it's ready. we're good. wanna call anyone or anything? your mom?

a little more altitude... a little less attitude. [ female announcer ] download the free walgreens mobile app to shop, print photos and manage prescriptions anywhere. walgreens. there's a way to keep life moving. we'll look at the progress to rebuild, plus.. the disturbing discoveries about how it could have been prevented. pet owners warned to watch out for poison at a bay area dog park. the ominous threat written on the park signs.

it's the case of the missing lamborghini. how one bay area thief went to great lengths to swipe a sports car. and libya's leader fights back. qaddafi's new warning to the u-s. join us for cbs 5 early edition ... beginning at 4:30. ,, here's a look at today's weather. a parade of storms will march through the northwest for the next several days. stormy weather is covering about half of the country from minnesota to florida. and it's hot on the california/arizona border.

here's another look at this morning's top stories. the senate is scheduled to vote today on two budget proposals. a republican plan passed by the house calls for more than $60 billion in spending cuts. and alleged tucson gunman jared loughner will be arraigned today. prosecutors want loughner examined to see if he's competent to stand trial. after the mysterious death of millions of fish in southern california on tuesday, government workers and volunteers are cleaning up the smelly mess left behind. kendis gibson reports on what caused the massive fish kill. >> reporter: everywhere you look in the king harbor marina, dead fish. >> the number of fish involved is -- is something that is unusual. >> it's kind of -- it's biblical. >> reporter: sardines swamped southern california's redondo beach late monday. by tuesday morning about a million of them ran out of

oxygen. >> they came around the breakwater and swam into an enclosed harbor and they ran out of air. in fish terms, they drowned. >> reporter: california fish and game investigators are working to piece together exactly what happened. but believe this is a rare, natural occurrence. >> we have not been able to identify any toxins or any waste pollutants that were suspect in this situation here. >> reporter: marine biologists say when the fish came into the harbor, high winds and rough seas made it difficult for them to get out. it's possible even more fish could swim this way, get trapped, and run out of oxygen. >> ever seen anything like this before? >> not this big. >> reporter: about 100 volunteers are using nets and buckets to clean up the mess. a fraction of the fish were rescued. thousands more sunk. >> a lot of these fish that are at the bottom will surface with the gases in them and be a whole other cleanup. >> reporter: crews are taking the tons of dead fish to recycling plants so they can be used for fertilizer. the redondo city manager

estimates the cleanup may cost $100,000. kendis gibson, cbs news, redondo beach, california. >> goodness. okay so this morning on "the early show," actress sara rue on her new weight loss reality show "shedding for the wedding." i'm betty nguyen. this is the "cbs morning news." ing." i'm betty nguyen. this is the "cbs morning news." oh, yeah. v8 juice gives you 3 of your 5 daily servings of vegetables. v8. what's your number? parentheses have a place. but not on your face. juvéderm® xc is the gel filler your doctor uses to instantly smooth out lines right here. temporary side effects include redness, pain, firmness, swelling, bumps, or risk of infection. ask your doctor about juvéderm® xc. gotta get that bacon! dog: yummy. crunchy. bacon. bacon. bacon. there, in that bag! mom: who wants a beggin' strip? dog: me! i'd get it myself but i don't have thumbs! yum, yum, yum... it's beggin'! hm... i love you! beggin' strips! there's no time like beggin' time!

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time to go home, folks, the party is over in the big easy. police cleared the streets early this morning after the big mardi gras party. since it was so late this year, spring break crowds made it the biggest celebration in years. for most people, it's no party when it comes to commuting to work. higher gas means that more people are leaving their cars behind and using mass transit, instead. but, as ben tracy reports, recent cuts mean a crowded ride for many. >> this is your 8:25 train? >> yes. >> reporter: all right. we'll hop on. >> okay. >> reporter: in pasadena, california, we rode the rails with jackie gilberto to her job in downtown los angeles.

she ditched her car as gas prices started to climb. when did you finally say, i'm done driving my car? >> i made that switch about three months ago in november, when i realized that i was spending about $400 a month on gas. >> reporter: the train costs jackie $62 per month and she now has plenty of company. rail ridership in l.a. is up 8% versus last year. the city says these numbers are because of these numbers. >> here's the receipt. $51.87. that's crazy high. >> reporter: but the fact is the vast majority of americans don't have easy access to public transportation. they're still stuck in their cars, and stuck paying those high gas prices. in the past two years, 84% of public transit systems have raised fares, cut service, or are considering it. cleveland dropped 90 buses from their routes. new jersey recently cut 30 commuter trains. and sacramento slashed 17% of its entire transit system. the problem is that public transportation is not a moneymaker. what transit riders pay in fares

covers just 32% of cost. taxpayers pick up most of the tab. >> public transportation is a public service. you don't expect your police department to pay for itself, or your schools to pay for themselves. >> reporter: but the american public transportation association says transit saves money. it contends that going from a two-car household to a one-car household can save, on average, nearly $10,000 per year. yet there's also this reality. >> it's hard to give up your car. >> reporter: so despite the pain at the pump, traffic congestion is actually getting worse. a report out shows travel times are up 10% in the past year. likely due to more commuters on the road, as the job market improves. >> i will not curtail my driving one bit. >> reporter: jackie won't complain about those who want to drive. there's already enough mass on her transit. ben tracy, cbs news, los angeles. and coming up a little bit later on "the early show," an interview with secretary of

state hillary clinton on the continuing crisis in libya. also, we will hear from congressman peter king, who is at the center of a controversial hearing this week on the islamic radicalism. and the high price of oil may mean more than just expensive gas. we'll find out what else is costing more. that's the "cbs morning news" for this wednesday. thanks for watching, everybody, i'm betty nguyen. have a great day. day. ,,,,